North Carolina 2025-2026 Regular Session

North Carolina Senate Bill S391 Compare Versions

OldNewDifferences
11 GENERAL ASSEMBLY OF NORTH CAROLINA
22 SESSION 2025
3-S 1
4-SENATE BILL 391
3+S D
4+SENATE BILL DRS15166-MW-58
5+
56
67
78 Short Title: DOT Omnibus. (Public)
89 Sponsors: Senators Rabon, Sawyer, and Lazzara (Primary Sponsors).
9-Referred to: Rules and Operations of the Senate
10-March 25, 2025
11-*S391 -v-1*
10+Referred to:
11+
12+*DRS15166 -MW-58*
1213 A BILL TO BE ENTITLED 1
1314 AN ACT TO REVISE LAWS CONCERNING THE DEPARTMENT OF 2
1415 TRANSPORTATION. 3
1516 The General Assembly of North Carolina enacts: 4
1617 5
1718 REGULATION OF DRIVERS EDUCATION OFFERED BY COMMERCIAL DRIVER 6
1819 TRAINING SCHOOLS 7
1920 SECTION 1. G.S. 20-322 reads as rewritten: 8
2021 "§ 20-322. Licenses for schools necessary; regulations as to requirements. 9
2122 (a) No commercial driver training school shall be established nor any such existing 10
2223 school be continued on or after July 1, 1965, unless such school applies for and obtains from the 11
2324 Commissioner a license in the manner and form prescribed by the Commissioner. 12
2425 (b) Regulations adopted by the Commissioner shall state the requirements for a school 13
2526 license, including requirements concerning location, equipment, courses of instruction, 14
2627 instructors, financial statements, schedule of fees and charges, character and reputation of the 15
2728 operators, insurance, bond or other security in such sum and with such provisions as the 16
2829 Commissioner deems necessary to protect adequately the interests of the public, and such other 17
2930 matters as the Commissioner may prescribe. A driver education course offered to prepare an 18
3031 individual for a limited learner's permit or another provisional license must meet the requirements 19
3132 set in G.S. 115C-215 for the program of driver education offered in the public schools. 20
3233 (c) Regulations adopted by the Commissioner for the course of instruction to be offered 21
3334 by commercial driver training schools to prepare an individual for a limited learner's permit or 22
3435 another provisional license must include, but are not limited to, the curriculum requirements in 23
3536 G.S. 115C-215(b). 24
3637 (d) In addition to regulations adopted by the Commissioner under subsection (c) of this 25
3738 section, commercial driver training schools providing courses to prepare an individual for a 26
3839 limited learner's permit or another provisional license through the public schools must meet all 27
3940 requirements set in G.S. 115C-215 for the program of driver education offered in the public 28
4041 schools." 29
4142 30
4243 DEALER LICENSE RENEWAL FIX 31
4344 SECTION 2. G.S. 20-288(b2), as enacted by Section 27(a) of S.L. 2024-30, reads 32
4445 as rewritten: 33
4546 "(b2) For a licensed dealer, manufacturer, factory branch, distributor, distributor branch, or 34
4647 wholesaler applying for renewal, the death of a co-owner in the licensed business entity shall not 35
47-be considered a change of ownership for purposes of licensure, as long as the business entity has 36 General Assembly Of North Carolina Session 2025
48-Page 2 Senate Bill 391-First Edition
48+be considered a change of ownership for purposes of licensure, as long as the business entity has 36
49+FILED SENATE
50+Mar 24, 2025
51+S.B. 391
52+PRINCIPAL CLERK General Assembly Of North Carolina Session 2025
53+Page 2 DRS15166-MW-58
4954 no new co-owners or changes in structure of the business entity. The applicant a change in 1
5055 ownership is not grounds for denial, suspension, or revocation of a license, as long as any new 2
5156 owner is otherwise qualified for licensure and approved by the Division. The licensee shall be 3
5257 considered by the Division to be a continuing business for purposes of renewal and shall not be 4
5358 required to apply for a license as a new business." 5
5459 6
5560 CHANGE CASH BALANCE REQUIREMENT TO CASH ON HAND 7
5661 SECTION 3. G.S. 143C-6-11(f) and (k) read as rewritten: 8
5762 "(f) Seven and One Half Percent (7.5%) Cash Balance Required. – The Department of 9
5863 Transportation shall maintain an available cash balance at the end of each month to an amount 10
5964 equal to at least seven and one half percent (7.5%) a minimum of 45 days of the total 11
6065 appropriations for the current fiscal year from the Highway Fund and the Highway Trust Fund. 12
6166 In projecting cash balances in future years, the Department shall use the estimated cash flow as 13
6267 specified in the Current Operations Appropriation Act. No further transportation project contract 14
6368 commitment may be entered into that would cause the cash position to fall below this 15
6469 requirement. In the event this cash position is not maintained, no further transportation project 16
6570 contract commitments may be entered into until the cash balance has been regained. Provided 17
6671 the Department may modify or supplement transportation contract commitments for existing 18
6772 transportation projects that (i) result in a savings from the total estimated project cost of the 19
6873 existing commitment, based on a cost-savings analysis, or (ii) relate to the needs of an existing 20
6974 transportation project to continue. Any federal funds on hand shall not be considered as cash for 21
7075 the purposes of this subsection. 22
7176 … 23
7277 (k) The Department of Transportation shall do all of the following: 24
7378 (1) Utilize cash flow financing to the extent possible to fund transportation 25
7479 projects with the goal of reducing the combined average daily cash balance of 26
7580 the Highway Fund and the Highway Trust Fund to an amount equal to between 27
7681 fifteen and twenty percent (15-20%) 75 and 120 days of the total 28
7782 appropriations for the current fiscal year from those funds. In projecting cash 29
7883 balances in future years, the Department shall use the estimated cash flow as 30
7984 specified in the Current Operations Appropriation Act. Any federal funds on 31
8085 hand shall not be considered as cash for the purposes of this subsection. The 32
8186 target amount shall include an amount necessary to make all municipal-aid 33
8287 funding requirements of the Department. 34
8388 …." 35
8489 36
8590 REGISTRATION OF RIGHT -OF-WAY PLANS 37
8691 SECTION 4. G.S. 136-19.4 reads as rewritten: 38
8792 "§ 136-19.4. Registration of right-of-way plans. 39
8893 (a) A copy of the cover sheet and plan and profile sheets of the final right-of-way plans 40
8994 for all Department of Transportation projects, on those projects for which plans are prepared, 41
9095 under which right-of-way or other interest in real property is acquired or access is controlled shall 42
9196 be certified by the Department of Transportation to the register of deeds of the county or counties 43
9297 within which the project is located. The Department shall certify said plan sheets to the register 44
9398 of deeds within two weeks from their formal approval by the Board of Transportation.The 45
9499 Department shall certify the plan sheets with the register of deeds at the completion of the project. 46
95100 (b) The copy of the plans certified to the register of deeds shall consist of a Xerox, 47
96101 photographic, or other permanent copy, except for plans electronically transmitted pursuant to 48
97102 subsection (b1) of this section, and shall measure approximately 17 inches by 11 inches including 49
98103 no less than one and one-half inches binding space on the left-hand side. 50 General Assembly Of North Carolina Session 2025
99-Senate Bill 391-First Edition Page 3
104+DRS15166-MW-58 Page 3
100105 (b1) With the approval of the county in which the right-of-way plans are to be filed, the 1
101106 Department may transmit the plans electronically. 2
102107 (c) Notwithstanding any other provision in the law, upon receipt of said original certified 3
103108 copy of the right-of-way plans, the register of deeds shall record said right-of-way plans and 4
104109 place the same in a book maintained for that purpose, and the register of deeds shall maintain a 5
105110 cross-index to said right-of-way plans by number of road affected, if any, and by identification 6
106111 number. No probate before the clerk of the superior court shall be required. 7
107112 (d) If after the approval of said final right-of-way plans the Board of Transportation shall 8
108113 by resolution alter or amend said right-of-way or control of access, the Department of 9
109114 Transportation, within two weeks from the adoption by the Board of Transportation of said 10
110115 alteration or amendment, shall certify to the register of deeds in the county or counties within 11
111116 which the project is located a copy of the amended plan and profile sheets approved by the Board 12
112117 of Transportation and the register of deeds shall remove the original plan sheets and record the 13
113118 amended plan sheets in lieu thereof. 14
114119 (e) The register of deeds in each county shall collect a fee from the Department of 15
115120 Transportation for recording right-of-way plans and profile sheets in the amount set out in 16
116121 G.S. 161-10." 17
117122 18
118123 ELIMINATE TURNPIKE AUTHORITY REPORTING REQUIREMENTS 19
119124 SECTION 5. G.S. 136-89.193 reads as rewritten: 20
120125 "§ 136-89.193. Annual plan of work; annual and quarterly reports.report. 21
121126 (a) Annual Plan of Work. – The Authority shall annually develop a plan of work for the 22
122127 fiscal year, describing the activities and projects to be undertaken, accompanied by a budget. 23
123128 This annual plan of work shall be subject to the concurrence of the Board of Transportation. 24
124129 (b) Annual Reports. Report. – The Authority shall, promptly following the close of each 25
125130 fiscal year, submit an annual report of its activities for the preceding fiscal year and an annual 26
126131 audit of its books and accounts for the preceding fiscal year to the Governor, the General 27
127132 Assembly, and the Department of Transportation. The report and audit shall be submitted no later 28
128133 than October 31 of the fiscal year in which the report and audit are completed. 29
129134 The North Carolina Turnpike Authority shall report to the Joint Legislative Transportation 30
130135 Oversight Committee on January 31, 2017, and in its annual report thereafter, the number of 31
131136 one-time toll facility users who are charged more than fifty dollars ($50.00) in processing fees 32
132137 imposed under G.S. 136-89.215 and civil penalties assessed under G.S. 136-89.216. 33
133138 (c) Repealed by Session Laws 2016-90, s. 4, effective July 11, 2016. 34
134139 (d) Report Prior to Let of Contracts. – The Authority shall consult with and report to the 35
135140 Joint Legislative Transportation Oversight Committee and the Joint Legislative Commission on 36
136141 Governmental Operations prior to the letting of any contract for Turnpike Project construction 37
137142 authorized under G.S. 136-183(a)(2). 38
138143 (e) Repealed by Session Laws 2011-145, s. 28.35(a), effective July 1, 2011." 39
139144 40
140145 TURNPIKE UNPAID TOLL NOTICE BY ELECTRONIC MAIL 41
141146 SECTION 6. G.S. 136-89.214(a) reads as rewritten: 42
142147 "(a) Bill. – If a motor vehicle travels on a Turnpike project that uses an open road tolling 43
143148 system and a toll for traveling on the project is not paid prior to travel or at the time of travel, the 44
144149 Authority must send a bill by first-class mail to the registered owner of the motor vehicle or the 45
145150 person who had care, custody, and control of the vehicle as established under G.S. 136-89.212(b) 46
146151 for the amount of the unpaid toll; provided, however, that with the written consent of the 47
147152 registered owner of the motor vehicle or the person who had care, custody, and control of the 48
148153 vehicle as set forth above, the Authority may send the bill via electronic mail to a designated 49
149154 electronic mail account or electronic mail account on file with a state Department of Motor 50
150155 Vehicles rather than by first-class mail. The Authority must send the bill within 90 days after the 51 General Assembly Of North Carolina Session 2025
151-Page 4 Senate Bill 391-First Edition
156+Page 4 DRS15166-MW-58
152157 travel occurs, or within 90 days of receipt of a sworn affidavit submitted under 1
153158 G.S. 136-89.212(b) identifying the person who had care, custody, and control of the motor 2
154159 vehicle. If a bill is not sent within the required time, the Authority waives collection of the toll. 3
155160 The Authority must establish a billing period for unpaid open road tolls that is no shorter than 15 4
156161 days. A bill for a billing period must include all unpaid tolls incurred by the same person during 5
157162 the billing period." 6
158163 7
159164 REMOVE LIMIT ON TURNPIKE PROJECTS 8
160165 SECTION 7. G.S. 136-89.183(a)(2) reads as rewritten: 9
161166 "(2) To study, plan, develop, and undertake preliminary design work on Turnpike 10
162167 Projects. At the conclusion of these activities, the Turnpike Authority is 11
163168 authorized to design, establish, purchase, construct, operate, and maintain no 12
164169 more than eleven projects, which shall include include, but not be limited to, 13
165170 the following: 14
166171 a. Triangle Expressway, including segments also known as N.C. 540, 15
167172 Triangle Parkway, Phases 1 and 2 of Complete 540, and the Western 16
168173 Wake Freeway in Wake and Durham Counties. The described 17
169174 segments constitute one project. 18
170175 b. Repealed by Session Laws 2013-183, s. 5.1, effective July 1, 2013. 19
171176 c. Monroe Connector/Bypass. 20
172177 d., e. Repealed by Session Laws 2013-183, s. 5.1, effective July 1, 2013. 21
173178 f. Repealed by Session Laws 2008-225, s. 4, effective August 17, 2008. 22
174179 Any other project proposed by the Authority in addition to the projects listed 23
175180 in this subdivision requires prior consultation with the Joint Legislative 24
176181 Commission on Governmental Operations pursuant to G.S. 120-76.1 no less 25
177182 than 180 days prior to initiating the process required by Article 7 of Chapter 26
178183 159 of the General Statutes. 27
179184 With the exception of the two projects set forth in sub subdivisions a. and c. 28
180185 of this subdivision, the Turnpike projects selected for construction by the 29
181186 Turnpike Authority, prior to the letting of a contract for the project, shall meet 30
182187 the following conditions: (i) two of the projects must be ranked in the top 35 31
183188 based on total score on the Department produced list entitled "Mobility Fund 32
184189 Project Scores" dated June 6, 2012, and, in addition, may be subject to 33
185190 G.S. 136-18(39a); (ii) of the projects not ranked as provided in (i), one may 34
186191 be subject to G.S. 136-18(39a); (iii) the projects shall be included in any 35
187192 applicable locally adopted comprehensive transportation plans; (iv) the 36
188193 projects shall be shown in the current State Transportation Improvement 37
189194 Program; and (v) toll projects must be approved by all affected Metropolitan 38
190195 Planning Organizations and Rural Transportation Planning Organizations for 39
191196 tolling." 40
192197 41
193198 CLARIFY USE OF REVENUE FROM TURNPIKE PROJECTS 42
194199 SECTION 8. G.S. 136-89.188(a) reads as rewritten: 43
195200 "(a) Revenues derived from a Turnpike Project authorized under this Article shall be used 44
196201 only for the following costs associated with the Project from which the revenue was derived or a 45
197202 planned contiguous toll facility:facility identified in a transportation plan adopted by an affected 46
198203 Metropolitan Planning Organization: 47
199204 (1) Authority administration costs. 48
200205 (2) Development, right-of-way acquisition, design, construction, expansion, 49
201206 operation, maintenance, reconstruction, rehabilitation, and replacement costs. 50 General Assembly Of North Carolina Session 2025
202-Senate Bill 391-First Edition Page 5
207+DRS15166-MW-58 Page 5
203208 (3) Debt service on the Authority's revenue bonds or related purposes such as the 1
204209 establishment of debt service reserve funds. 2
205210 (4) Debt service, debt service reserve funds, and other financing costs related to 3
206211 any of the following: 4
207212 a. A financing undertaken by a private entity under a partnership 5
208213 agreement with the entity for the Project. 6
209214 b. Private activity bonds issued under law related to the Project. 7
210215 c. Any federal or State loan, line of credit, or loan guarantee relating to 8
211216 the Project. 9
212217 (5) A return on investment of any private entity under a partnership agreement 10
213218 with the entity for the Project. 11
214219 (6) Any other uses granted to a private entity under a partnership agreement with 12
215220 the entity for the Project." 13
216221 14
217222 REVISIONS TO BRIDGE PROGRAM OUTSOURCING 15
218223 SECTION 9. G.S. 136-76.2(c) reads as rewritten: 16
219224 "(c) Outsourcing. – Except for the following activities, all projects funded under the bridge 17
220225 program established under subsection (a) of this section shall be outsourced to private 18
221226 contractors: 19
222227 (1) Inspection. 20
223228 (2) Pre-engineering. 21
224229 (3) Contract preparation. 22
225230 (4) Contract administration and oversight. 23
226231 (5) Planning activities. 24
227232 (6) Installation of culverts and structures described in subsection (b) of this 25
228233 section, but only in cases of emergency.section on low volume or non-outlet 26
229234 roads." 27
230235 28
231236 EXEMPT FERRY DIVISION FROM TEMPORARY SOLUTIONS PROGRAM 29
232237 SECTION 10. G.S. 126-6.3(a) reads as rewritten: 30
233238 "(a) Use of Temporary Solutions Required for Cabinet Agencies. – Notwithstanding 31
234239 G.S. 126-5 or any other provision of law, all Cabinet agencies that utilize temporary employees 32
235240 to perform work that is not information technology-related shall employ them through the 33
236241 Temporary Solutions Program administered by the Office of State Human Resources (OSHR). 34
237242 Council of State agencies may use the Temporary Solutions Program in the discretion of the 35
238243 agency. The Department of Transportation, Ferry Division, is exempt from the required use of 36
239244 the Temporary Solutions Program when there is an established need for peak season hires or 37
240245 when the work requires a specific skill set beyond the scope of temporary employees." 38
241246 39
242247 MODIFY STIP REPORTING AND LOCAL CONSULTATION REQUIREMENTS 40
243248 SECTION 11. G.S. 136-12 reads as rewritten: 41
244249 "§ 136-12. Reports to General Assembly; Transportation Improvement Program posted 42
245250 and submitted to members and staff of General Assembly. 43
246251 (a) The Department of Transportation shall shall, on or before the tenth day after the 44
247252 convening of each regular session of the General Assembly, make a full printed and detailed 45
248253 report to the Joint Legislative Transportation Oversight Committee by March 1 of each year on 46
249254 how the previous fiscal year's funds for the General Assembly that includes the cost of 47
250255 maintenance and construction were allocated and expended. The work undertaken by the 48
251256 Department, receipts of license fees, disbursements of the Department, and other financial 49
252257 information relevant to illustrate the Department's financial condition during the previous fiscal 50
253258 year. For maintenance and construction work undertaken by the Department, the report shall also 51 General Assembly Of North Carolina Session 2025
254-Page 6 Senate Bill 391-First Edition
259+Page 6 DRS15166-MW-58
255260 include expenditures of both State and federal funds and shall be in sufficient detail that the 1
256261 county can be identified. A full account of each road project shall be kept by and under the 2
257262 direction of the Department of Transportation or its representatives, to ascertain at any time the 3
258263 expenditures and the liabilities against all projects; also records of contracts and force account 4
259264 work. The account records, together with all supporting documents, shall be open at all times to 5
260265 the inspection of the Governor or road authorities of any county, or their authorized 6
261266 representatives, and copies thereof shall be furnished such officials upon request. 7
262267 …." 8
263268 9
264269 AUTHORIZE ELECTRONIC PAYMENT TRANSACTION FEE FOR FERRIES 10
265270 SECTION 12. G.S. 136-82 is amended by adding a new subsection to read: 11
266271 "(b3) Transaction Fee Authorized for Electronic Payment. – When the Department of 12
267272 Transportation accepts electronic payment, as that term is defined in G.S. 147-86.20, for any toll 13
268273 or fee authorized under this Article, the Department may add a transaction fee to each electronic 14
269274 payment transaction to offset the service charge the Department pays for electronic payment 15
270275 service. The transaction fee authorized under this subsection shall not exceed two percent (2%) 16
271276 of the electronic payment." 17
272277 18
273278 MODIFICATIONS TO PROPERTY RIGHTS IN THE ACQUISITION AND 19
274279 CONDEMNATION OF PROPERTY BY THE DEPARTMENT OF TRANSPORTATION 20
275280 SECTION 13.(a) G.S. 136-108 reads as rewritten: 21
276281 "§ 136-108. Determination of issues other than damages. 22
277282 (a) After the filing of the plat, the judge, upon motion and 10 days' notice by either the 23
278283 Department of Transportation or the owner, shall, either in or out of term, hear and determine 24
279284 any and all issues raised by the pleadings other than the issue of damages, including, but not 25
280285 limited to, if controverted, questions of necessary and proper parties, title to the land, interest 26
281286 taken, and area taken. 27
282287 (b) The effect of the imposition of easements, including, but not limited to, permanent 28
283288 utility easements, aerial utility easements, permanent drainage easements, permanent drainage 29
284289 utility easements, temporary construction easements, temporary drainage easements, temporary 30
285290 utility easements, and slope easements, is an issue of damages and shall not be subject to 31
286291 consideration pursuant to this section." 32
287292 SECTION 13.(b) G.S. 136-112 reads as rewritten: 33
288293 "§ 136-112. Measure of damages. 34
289294 The following shall be the measure of damages to be followed by the commissioners, jury or 35
290295 judge who determines the issue of damages: 36
291296 (1) Where only a part of a tract is taken, the measure of damages for said taking 37
292297 shall be the difference between the fair market value of the entire tract 38
293298 immediately prior to said taking and the fair market value of the remainder 39
294299 immediately after said taking, with consideration being given to any special 40
295300 or general benefits resulting from the utilization of the part taken for highway 41
296301 purposes. 42
297302 (2) Where the entire tract is taken the measure of damages for said taking shall be 43
298303 the fair market value of the property at the time of taking. 44
299304 (3) Evidence of the damages resulting from the imposition of easements, 45
300305 including, but not limited to, permanent utility easements, aerial utility 46
301306 easements, permanent drainage easements, permanent drainage utility 47
302307 easements, temporary construction easements, temporary drainage easements, 48
303308 temporary utility easements, and slope easements, shall not be presumed to be 49
304309 based on the Department of Transportation exercising its rights to the fullest 50 General Assembly Of North Carolina Session 2025
305-Senate Bill 391-First Edition Page 7
310+DRS15166-MW-58 Page 7
306311 extent of the law but shall be based on consideration of the project plans and 1
307312 other admissible market evidence." 2
308313 SECTION 13.(c) G.S. 136-89.52 reads as rewritten: 3
309314 "§ 136-89.52. Acquisition of property and property rights. 4
310315 (a) For the purposes of this Article, the Department of Transportation may acquire private 5
311316 or public property and property rights for controlled-access facilities and service or frontage 6
312317 roads, including rights of access, air, view and light, by gift, devise, purchase, or condemnation 7
313318 in the same manner as now or hereafter authorized by law to acquire such property or property 8
314319 rights in connection with highways. The property rights acquired under the provisions of this 9
315320 Article may be in fee simple or an appropriate easement for right-of-way in perpetuity. In 10
316321 connection with the acquisition of property or property rights for any controlled-access facility 11
317322 or portion thereof, or frontage road in connection therewith, the Department of Transportation 12
318323 may, in its discretion, with the consent of the landowner, acquire an entire lot, parcel, or tract of 13
319324 land, if by so doing, the interests of the public will be best served, even though said entire lot, 14
320325 parcel, or tract is not immediately needed for the right-of-way proper. 15
321326 (b) Along new controlled-access highway locations, abutting property owners shall not 16
322327 be entitled to access to such new locations, and no abutter's easement of access to such new 17
323328 locations shall attach to said property. Where part of a tract of land is taken or acquired for the 18
324329 construction of a controlled-access facility on a new location, the nature of the facility 19
325330 constructed on the part taken, including the fact that there shall be no direct access thereto, shall 20
326331 be considered in determining the fair market value of the remaining property immediately after 21
327332 the taking. 22
328333 (c) In no event shall the imposition of easements, including permanent utility easements, 23
329334 aerial utility easements, permanent drainage easements, permanent drainage utility easements, 24
330335 temporary construction easements, temporary drainage easements, temporary utility easements, 25
331336 and slope easements, be construed to constitute the imposition of new control-of-access or the 26
332337 taking of the property owner's abutters easement of access." 27
333338 SECTION 13.(d) This section becomes effective July 31, 2025, and applies to causes 28
334339 of action arising on or after that date. 29
335340 30
336341 EFFECTIVE DATE 31
337342 SECTION 14. Except as otherwise provided, this act is effective when it becomes 32
338343 law. 33